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The European economy fluctuates, is the time for Amazon European sellers coming?
02/10/2023

Amazon inventory clearance knowledge sharing

02/10/2023
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Amazon inventory clearance knowledge sharing

The inventory on the Amazon platform is often polarized, with some sellers running out of inventory while others have redundant inventory. There are also many reasons for Amazon's inventory backlog:

1. Product problem: quality problem

2. Product infringement

3. Account problem: the store was blocked, and the order was detected

4 Insufficient promotion: price, rating, page optimization is not in place

5. Out of stock for too long-logistics: port congestion, inspection, lost items, etc.; factory cooperation: the order is placed for too long to deliver, and finally the goods miss the sales time and backlog.

6. Stocking problem: due to seasonal and festive stocking too much and not sold out.

Whatever the reason, excess inventory can have a big impact on Amazon sellers. Excess inventory will firstly generate high storage fees, and will also reduce the storage capacity of the warehouse. As a result, best-selling products cannot be replenished in time, and new products developed at the same time cannot be shipped to FBA. Secondly, it is not conducive to the flow of the company's funds. After all, the inventory not only cannot bring benefits to the company, but also occupies a large amount of funds, which is likely to cause a cut-off of funds.

Then it is very important to clear the inventory. Clearing the inventory can not only quickly withdraw funds, but also help the seller reduce some losses. It can also liberate the seller's storage capacity, which is beneficial to the seller's next operation, and at the same time, the seller does not need to spend more energy on the subsequent processing of inventory products. So how to efficiently clear inventory?

There are two ways to clear inventory in general: 1. Offline inventory clearance 2. Online inventory clearance.

Clearing inventory online means that the seller directly processes the inventory through the Amazon site through price reduction, discount, bundling sales, or directly through Amazon clearance. Clearing inventory offline is to find a suitable service provider and clear offline through local buyer resources, such as finding a local overseas warehouse service provider for inventory recycling. In the case of fba, it is batch removal, and the overseas warehouse buyers will clear the goods in the form of self-pickup. The advantage of online inventory clearance is that the selling price is relatively high, but the inventory clearance period is long, and there is no way to clear it in batches, and it can only be cleared by order. The advantage of offline inventory clearance is that it can be cleared in batches, and inventory clearance can be completed quickly in a short period of time, but the disadvantage is that the price is relatively low. The price of offline inventory clearance is generally within 20% of the original price, and some hot-selling products are not ruled out. 20%, of course, there are products that are less than 10% or free, and no one recycles them.

It should be noted that for sellers to qualify for the Amazon Clearance Program, the product needs to meet the following conditions:

First, the product needs to be currently available for sale in the Amazon fulfillment center;

Second, the seller's product needs to have a sales record in the Amazon mall, and the product rating is at least three stars;

Third, the object of clearance needs to be in the state of new products;

Fourth, the seller's products must comply with Amazon's buyer product review policy and price policy;

Finally, sellers whose products are part of the Subscribe & Save program are not eligible for the clearance program. Even if the seller meets all the above requirements, but the platform’s ASIN qualification assessment of the store does not meet the standards, the seller may not receive Amazon’s clearance recommendation.

If the seller is not particularly anxious to clear the goods, we can choose to sell on other platforms. Maybe the process will be slower, but if there are considerable sales elsewhere, we can recover more losses, and maybe even make a profit. Sellers of commodities that can clear inventory online try to choose online clearance. If the seller’s inventory is about to be discarded/product infringement/link hanging/slow-moving products, it is more suitable for offline inventory, which can be cleared in batches, recover part of the funds, and reduce losses. .

Offline inventory clearance generally needs to provide product links, product quantities, FBA or overseas warehouses where the products are located (overseas warehouses need to provide addresses), and it is recommended to clear inventory service providers at overseas warehouses at 5%-20% of the original price, and then negotiate Sign the contract and pay the deposit to start batch cleaning.

At present, many overseas warehouse services in the United States pay for Amazon’s inventory recycling service. If sellers want to quickly clear their inventory, they can consult with Imperial Express’s overseas warehouses in the United States. in stock. Welcome to look for our Empire Express US overseas warehouse to help sellers recover Amazon inventory at a reasonable price.

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